To use Excel to calculate the current ratio, input the current assets into one cell, the current liabilities in an adjacent cell, and the formula "=(Cell 1)/(Cell 2)" The current ratio is a ...
The Sharpe ratio is one way to capture this risk-versus-reward detail and give investors extra insight into their assets' performance. Some investors use an index fund as a benchmark and attempt ...
The Sortino ratio uses three inputs for its formula. The numerator is the difference between a portfolio's return and the risk-free rate of return. You can use a portfolio's actual or expected return.
In this case, the formula for equity-to-assets in this case would be $4 million divided by $5 million, or 80%. That looks like this. So you have the number now, but the ratio by itself doesn't ...
The formula of a covalent network or ionic compound gives the simplest ratio of atoms/ions in the substance. Sometimes the name of the compound gives information about the formula of that compound.
Once such approach to calculating the risk adjusted returns is the highly popular Sharpe Ratio. Here is how the Sharpe formula looks like. Sharpe Ratio = {(Return on the Fund – Risk-Free returns ...